Supervising Editor: Dan Li (Indiana University, lid@indiana.edu)
Deadline for Submission: January 31, 2024
Motivation for the Special Issue
Recent special issues (SI) at the Journal of International Business Studies (JIBS) have highlighted the important roles that digitalization (Meyer, Li, Brouthers, & Jean, 2023) and changing institutional norms and standards (Dau, Chacar, Lyles, & Li, 2022) have for international business (IB) theory and practice. While digitalization is creating new pathways for firms to become involved in foreign markets (Kano, Tsang, & Yeung, 2020; Li et al., 2019; Luo & Tung, 2018; Nambisan, Zahra, & Luo, 2019), impediments to these digitally-enabled pathways are emerging, such as privacy concerns, laws and regulations, perceptions of individuals and groups of MNEs from certain countries of origin. The changing informal institutions and rising geopolitical tensions are becoming the new barriers for multinational enterprises (MNEs) in their global expansion (Alvarez & Rangan, 2019; Buckley, 2020; Contractor, 2021; Liu & Li, 2020; Nambisan & Luo, 2021; White et al., 2022). These concurrent movements are reshaping firm involvement in international markets (Liesch, Buckley, Simonin & Knight, 2012) by simultaneously increasing opportunities and creating new barriers. Changing how established and new firms become involved in IB, these trends and the tensions they create challenge the established view of the theory of the MNE.
By international involvement, we refer to a broad spectrum of arrangements taking place within, across, and beyond firm boundaries to enable the firm's participation in foreign markets (Brouthers & Hennart, 2007; Liesch et al., 2012). International involvement is not limited to foreign investments and the traditional modes of entry and operation (e.g., exporting, joint ventures, wholly owned subsidiaries) but includes all means of cross-border value-creating activities, such as outsourcing, licensing, alliances, capital access, innovation outposts, user acquisition via digital channels, and managed ecosystems (Brouthers, Chen, Li & Shaheer, 2022). Traditionally, international involvement has been studied through the lens of international market entry and operation modes (Brouthers & Hennart, 2007; Kirca et al., 2011; Tihanyi, Griffith, & Russell, 2005; Zapkau, Schwens, & Brouthers, 2020), by which firms organize the way they access markets or resources in foreign countries (Erramilli & Rao, 1993). This has been a prominent research domain in IB, with numerous award-winning papers at JIBS (e.g., Agarwal & Ramaswami, 1992; Anderson & Gatignon, 1986; Brouthers, 2002; Kogut & Singh, 1988). International involvement is not only fundamental to the questions of why MNEs exist and how they evolve, but also shapes our collective wisdom on internationalization processes (e.g., establishment chain).
However, scholars contend that traditional entry mode research and theorization has seen little progress (Shaver, 2013), and our understanding of how and why firms increase/decrease involvement neglects the processes involved (Autio, Mudambi, & Yoo, 2021; Connelly, Ketchen, & Hult, 2013; Jacobides & Hitt, 2005; Welch, Nummela, & Liesch, 2016). While Hennart and Slangen (2015) advocate for research opportunities on entry mode choices, new pathways of international involvement in the era of digitalization and extremely disrupted (de)globalization are putting our literature at a juncture that may require novel theorization. Shaver's (2013) question becomes more compelling than ever: Is the entry mode literature producing "more of the same" rather than revealing new trends and forms of international involvement, and theorizing their nature and behaviors?
Reflecting on recent advances in digitalization and institutional drivers of integration/decoupling, Brouthers et al. (2022) develop a theoretical framework based on the theories of Embeddedness, Exploration and Exploitation (EEE) to better recognize and conceptualize a broader range of non-traditional entry modes that MNEs, small and medium-sized enterprises (SMEs), and born-global ventures have utilized to involve themselves in foreign markets in today's economy. However, this development is challenged by Hennart (2022), who argues that most 'non-traditional entry modes' constitute changes in kind rather than substance and that a more sophisticated version of transaction cost economics (TCE) can effectively explain the transfer of capabilities and knowledge in these modes. This debate has aroused a broad discussion through a variety of channels, including JIBS and AOM IM Division online research panels. There is compelling interest in rethinking international involvement as well as a widespread recognition of the need for developing, extending, and integrating traditional and emerging theoretical frameworks to explain these transitions.
This special issue intends to accelerate the conversation and investigate the question – Do we need new theories, extensions to existing theories, or combinations of new and old theories, to understand how international involvement is evolving in our changing world of complex realities, and if we do, what might these theories entail?
Aims and Scope of the Special Issue
We seek scholarly contributions that can help advance our understanding of international involvement in the new era of digitalization and globalization with extreme disruptions to the international environment (or ecosystem). We are interested in contributions that can connect debates about the theorization and modality of market entry and involvement to ongoing conversations and practices in the IB field. We welcome submissions using a diversity of research methods including quantitative and qualitative approaches and conceptual/theoretical contributions. Possible topics that would be suitable for this SI include (but are not limited to):